Wema Bank Plc’s newly articulated tier-1 ambition marks a major strategic shift for the lender. Wema Bank is leveraging a highly liquid balance sheet built on stellar growth and recent capital injections to break into the elite FUGAZ tier, where First Bank, UBA, Guaranty Trust, Access, and Zenith are sitting.
Moruf Oseni, managing director, Wema Bank Plc, at the bank’s recently held annual general meeting (AGM) reaffirmed the ambition to break into Nigeria’s tier-one banking league “in the not-too-distant future.”
Wema’s aggressive push is backed by a rapid financial transformation over the last three years, culminating in a historic full-year (FY) 2025 performance.
While addressing shareholders during the lender’s annual general meeting in Lagos, Oseni noted that they are working hard to “deliberately and intentionally position” Wema among Nigeria’s top-tier banks, with profitability tripling over three years.
He cited the sharp profitability trajectory and fresh capital recently raised as the foundation for an accelerated growth push.
The bank’s profit surged from N42 billion to N102.51 billion and further to N221.9 billion in the 2025 financial year, representing a near fivefold increase over the three-year period.
While presenting the bank’s financial scorecards to shareholders, Oseni framed the profit trajectory as evidence of deliberate institutional building.
“If you observe that trend, it is on an increase, and it is a testament to all the work we have done since we took over, and even in the years when we were building the blocks,” he added.
On dividends, Oseni struck a cautious but reassuring tone, noting that while the bank remains committed to consistent dividend payments — a sharp turnaround from years of no dividend distribution — management is deliberately conserving capital for future opportunities.
“We are keeping our gunpowder dry… we felt that at this point in time the dividend paid was appropriate, taking into cognisance that there may be opportunities in the future that we will want to take advantage of,” he said.
“The reference to future opportunities and the need for enough firepower strongly suggests the bank is eyeing acquisitions or strategic transactions, though no specifics were disclosed. Oseni noted that details would be revealed “in the fullness of time.”
He further gave the credit for the bank’s performance to his subordinates and staff, describing them as the “Knights of Wema Bank” who “toil 24hours daily and seven days a week” to deliver results. He also acknowledged shareholders, board members, and customers as central to the bank’s recovery story.
The managing director of Wema Bank further outlined a clear capital allocation strategy for the fresh funds raised, covering three priority areas: Loan growth – the raised capital will be channelled into creating quality risk assets. Another area is digital expansion – investment in what he described as “platforms of engagement” — customer-facing digital infrastructure. Other areas where the capital from fresh funds raised will be allocated to include cybersecurity – spending on “platforms of defence” to protect the bank and customer deposits amid rising cybercrime threats.
The Wema Bank managing director also hinted at plans to deepen its national footprint, emphasising a “follow the money” strategy — placing branches specifically in commercially viable locations rather than blanket geographic expansion.
Earlier in her address, Oluwayemisi Olorunshola, board chairman, Wema Bank, reminded shareholders that the year 2025 marked the bank’s 80th anniversary as Nigeria’s oldest surviving indigenous bank.
According to her, the milestone provided an opportunity to reaffirm their commitment to building a future-ready institution that continues to deliver value to shareholders, customers, employees, and the entire Nigerian economy.
Shareholders unanimously approved all the proposals laid before them during the meeting, including the dividend of N1.25 per share and the appointment of Wilson Agu as Independent Non‑Executive Director. They also re-elected three retiring directors and elected members of the statutory audit committee.
In its audited financial results for the full year ended December 31, 2025, Wema Bank Plc reported a profit before tax (PBT) of N221.8 billion, representing a 116.44 percent increase from N102.5 billion in 2024, mainly driven by growth in interest income, which forms the bulk of its top line. Interest income rose to N576 billion from N354.6 billion, with loans and advances contributing 60.4 percent, investment securities 35.5percent, and cash and cash equivalents making up the remainder.
Along with income from its non-interest activities, especially fees and commissions, the bottom line strengthened, with earnings per share rising to N7.12 from N4.83.
The interest income of N576.07 billion was largely driven by earnings from loans and advances of N348.2 billion, investment securities of N204.4 billion, and cash and cash equivalents of N23.3 billion. Operating expenses increased to N198.7 billion, leaving a pre-tax profit of N221.8 billion, up 116.44 percent.
After an impairment of N25.6 billion, net interest income after impairment settled at N335.2 billion, up from N155.4 billion in the previous year. After N27.4 billion in tax, the post-tax profit settled at N194.4 billion. The bank also earned N8.3 billion from trading income and N392.5 million from other sources, bringing total operating income to N420.6 billion, up from N234.2 billion the previous year.
On the balance sheet, total assets jumped to N5.07 trillion from N3.5 trillion, with loans and advances to customers at N1.7 trillion, forming the largest portion of the asset base.